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Biden administration proposes to compensate passengers for canceled/delayed flights

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Biden administration proposes to compensate passengers for canceled/delayed flights

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Old May 8, 2023, 9:43 am
  #1  
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Biden administration proposes to compensate passengers for canceled/delayed flights

Reuters Article on the Proposal

What do you all think? Is it time for the US to join the EU by introducing legislation similar to EU261? What are the pros/cons?
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Old May 8, 2023, 9:57 am
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This appears to me to be political grandstanding in support of candidate Biden. Congress has not given the DoT the legal authority to mandate compensation, and a presidential pen does not make law no matter how much an administration thinks it can.

On the merits, any mandated compensation will be paid by passengers via increased fares. I have insured myself against the consequences of an occasional IRROPS, and would prefer not to pay increased fares to support a mandated compensation scheme.

I would rather see legislation authorizing the creation of a no-fly list for disruptive passengers than an EU261 type scheme.
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Old May 8, 2023, 10:57 am
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I welcome a US equivalent of EC 261/2004. These things can be done in the US via following administrative procedures already authorized by Congress and signed into law decades ago.
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Old May 8, 2023, 11:05 am
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I'm indifferent. But, if forced to choose, I'd say no and agree with tsb3 on it just increasing the cost for all consumers, the law of large numbers thing. When it comes to this, I can self insure, so why buy insurance for it? I hate insurance by the way.
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Old May 8, 2023, 5:11 pm
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Originally Posted by twb3
On the merits, any mandated compensation will be paid by passengers via increased fares. I have insured myself against the consequences of an occasional IRROPS, and would prefer not to pay increased fares to support a mandated compensation scheme.
I still think it's important to incentivize airlines to avoid canceling flights. I just flew Frontier this weekend and since they don't interline, a cancelation meant a walk-up rate at a rival airline from me and no penalty at all for them, apart from the loss of revenue which they often issue in vouchers. Giving them more incentive to find substitute aircraft and such feels to me like the right move, even if it does raise fares slightly.
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Old May 8, 2023, 8:05 pm
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If CNN/Reuters have it right, the DOT proposal only contemplates $100 in cash compensation for delays in excess of 3 hours, which would be a lot less generous than EC261 and the associated Right to Care enjoyed by European air consumers. I'm not really sure if this is going to impact airfares to a meaningful degree.

https://www.cnn.com/travel/article/a...ion/index.html

[edit: out-of-date article]
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Last edited by progapanda; May 8, 2023 at 8:28 pm
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Old May 8, 2023, 8:14 pm
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Originally Posted by progapanda
If CNN/Reuters have it right, the DOT proposal only contemplates $100 in cash compensation for delays in excess of 3 hours, which would be a lot less generous than EC261 and the associated Right to Care enjoyed by European air consumers. I'm not really sure if this is going to impact airfares to a meaningful degree.

https://www.cnn.com/travel/article/a...ion/index.html
The link is from Oct 24, 2022 which isn’t the new proposal
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Old May 8, 2023, 8:25 pm
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Oops, I don't know how I missed the publication date!

Originally Posted by TGarza
The link is from Oct 24, 2022 which isn’t the new proposal
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Old May 8, 2023, 9:02 pm
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I wish they'd get back to focusing on resort fees first. Then tackle this issue.
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Old May 8, 2023, 10:36 pm
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Originally Posted by twb3
On the merits, any mandated compensation will be paid by passengers via increased fares.
If European figures are anything to go by, the difference paying compensation would make to fares is pennies. Certainly not enough for anyone to notice.
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Old May 9, 2023, 3:26 am
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You have to remember that EC261/UK261 compensation payments are only due when the delay or cancellation is attributable to the airline - so weather, ATC strikes, etc. don't trigger compensation. The intention of compensation is, as above, to incentivise airlines not to just cancel underbooked services, for example, and to make suitable arrangements when there is a technical issue, rather than just abandoning pax.

The right to care - phone calls, refreshments, meals, accommodation etc. (depending on length of delay) kicks in regardless of who is to blame for the delay. This is the more controversial bit of the scheme for me.
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Old May 9, 2023, 5:03 am
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Right to care and right to compensation aspects of EC 261/2004 are both fine by me. A US equivalent is overdue its welcome by me.

Originally Posted by travelinmanS
I wish they'd get back to focusing on resort fees first. Then tackle this issue.
Each issue can be tackled during the same period without compromising time lines for the other issue. Also, resort fees are not under the purview of the US DOT.
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Old May 9, 2023, 6:12 am
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Originally Posted by twb3
This appears to me to be political grandstanding in support of candidate Biden. Congress has not given the DoT the legal authority to mandate compensation, and a presidential pen does not make law no matter how much an administration thinks it can.

On the merits, any mandated compensation will be paid by passengers via increased fares. I have insured myself against the consequences of an occasional IRROPS, and would prefer not to pay increased fares to support a mandated compensation scheme.

I would rather see legislation authorizing the creation of a no-fly list for disruptive passengers than an EU261 type scheme.
applying for Tucker’s job?

It is President Biden or did they nan civics as well as books?

Every scenario and industry has a company responsible and the argument you’ll be paying for it lacks recognition. I’ve got medical insurance but shouldn’t have to buy a policy that protects me from the doctor taking out the wrong kidney.
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Old May 9, 2023, 6:33 am
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Originally Posted by twb3
This appears to me to be political grandstanding in support of candidate Biden. Congress has not given the DoT the legal authority to mandate compensation, and a presidential pen does not make law no matter how much an administration thinks it can.

On the merits, any mandated compensation will be paid by passengers via increased fares. I have insured myself against the consequences of an occasional IRROPS, and would prefer not to pay increased fares to support a mandated compensation scheme.

I would rather see legislation authorizing the creation of a no-fly list for disruptive passengers than an EU261 type scheme.
Congress gave DOT the authority to regulate unfair and deceptive practices by carriers, and one need look no further than daily posts on this website to see that people think airlines failure to compensate for expenses caused by delays/cancellations, and loose labelling of delays as outside their control, are unfair and deceptive practices.

Yes, any customer friendly move increases costs to airlines that will be passed onto customers.... But that applies to honoring mistake fares, free bags, better alcohol in first class, more pilots, more customer service reps, and dozens of other things people on Ft regularly ask for.
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Old May 9, 2023, 7:25 am
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Originally Posted by tkelvin69
Every scenario and industry has a company responsible and the argument you’ll be paying for it lacks recognition. I’ve got medical insurance but shouldn’t have to buy a policy that protects me from the doctor taking out the wrong kidney.
Not to derail the thread but every patient fee pays for the medical liability for accidents and incompetence.

The major impact of the airline proposal will be the ultra low cost carriers with limited planes and limited maintenance facilities who rely on 3rd party service providers. The big carriers have maintenance faculties and repair crews around the country.
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